RONN Inc. (OTC:RONN) Stock Takes a Hit: What Happened?

On Tuesday, the RONN Inc. (OTC:RONN) stock suffered from a stiff selloff and declined by 25% amidst strong selling pressure.

What Happened?

The company announced yesterday that after its S-1 submission, an expanded new meeting was going to take place with the leaders of the Tobique First Nations. The participants in the meeting would include tribal EDC executives, the tribal chief, and important government officials.

The meeting would be focused on the plans to establish 10 hydrogen hubs spread across Canada. The project would deploy land belonging to First Nations in order to establish a virtual hydrogen highway.

The Project

In the news release, RONN noted that the planned project would lead to the creation of an infrastructure corridor that would promote smooth travel in NetZero hydrogen vehicles across Canada. In the beginning, the corridor would support Class 8 hydrogen electric trucks for the movement of freight. Eventually, following further evolution of the market, the corridor would also open up for passenger vehicles.

There is belief that despite the considerable potential of the project, it would need investments of around $1 billion over the next decade. Some of the financing options with the company include government grants, bonds, and green hydrogen sales from the electricity produced at the Tobique wind farms.

CEO Comment

CEO Ronn Ford expressed enthusiasm for the project’s vast potential, estimating an investment needed of up to $1 billion over the next decade. “We have engaged with numerous tribal leaders from coast to coast and have garnered incredible support for this initiative,” he stated. The partnership with Tobique is just one facet of a larger strategy that currently includes three wind farms and promising hydrogen pilot programs aimed at energizing the local utility and providing heating solutions for the airport. “Tobique officials are pioneering thinkers, employing a diverse array of strategies to achieve NetZero status.”

Technicals

+/- EMA(20)	0.0009 (-33.33%)
+/- SMA(50)	0.0018 (-66.67%)
+/- SMA(200)	0.0043 (-86.05%)